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When asked exactly where those SHAs were, the council said that information was "commercially sensitive" and were not able to reveal the exact location or name the developers.

Instead, a council spokeswoman said in a statement to the Bay of Plenty Times that developers were investigating a range of section sizes and housing typologies.

"The fact that SHAs can't be progressed any more doesn't mean houses will never get built there – they could potentially proceed at a later date either through a City Plan change process or a resource consent," the spokeswoman said.

"They, however, would not be built in the timeframes which an SHA would have enabled."

Housing and Urban Development Minister Phil Twyford said the Government was not extending the former Government's legislation because "the costs outweigh the benefits".

"While it increased housing supply in some cases, it hasn't made housing more affordable," he said.

Twyford said a proposed Housing and Urban Development Authority will be established in 2020 and will have greater power than SHAs to fast-track urban development projects and have the ability to acquire land.

Freeing up land for housing is the responsibility of the council, Twyford said.